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So, not really 100% private then, is it? Who's cloud is it anyway? (there is no cloud, just someone else's computer :-))
I can run free VM on google and ecrypt my drive (with my own keys BTW)
How is this service better? $40 ain't cheap I wish you luck but I ain't buying...
Yes, everything you say is true. And you're responsible for running that system. Most folks don't want that. It's OK to offer a convenience. BTW, are you running your own email today? Are you running your own Jitsi today? Etc. If not, why not? That's the value offered by Federated.
How do you keep the software up-to-date if you don’t have access to it. Seems sus
We use macaroons to give us access to the parts of the system required to keep the software up-to-date.
On your own VM in the Federated cloud. But we can't see your data, once your change your passwords. We can only keep your software up-to-data, initiate the encrypted backup. No, it's not as private as true self-hosting, but it provides the right mix of convenience and privacy.